Suppose a firm lowers its price to $10, raising the quantity sold from 4 to 5 units. If the marginal revenue of the fifth unit is $2, the firm must have lowered its price by:

Q: An amusement park has 1 000 visitors every Saturday and charges $55 per person to enter the park.…

A:

Q: 2. The Ice Cream Lovers Society decided to open up an ice cream stand during the summer months. They…

A: Given information P=8-0.02x Fixed cost per month=$350 Variable cost=$0.80 TC=350+0.80x

Q: Under perfect price discrimination the consumer is surplus is

A: Consumer surplus is used for measuring consumer benefits.

Q: Suppose that demand equals: P 1,000 - Qs - Q,; where Qs and Q, are quantities sold, and P is the…

A: Firms compete in quantity and each firm maximizes profit by producing at MR = MC

Q: The demand function for a particular product is given by…

A: Here, a particular demand function is given as: D(x)=0.5x2+3x+190 To find: marginal revenue at the…

Q: Thingamabob Sales Yaster Inc. is trying to enter the thingamabob market. The research department…

A: as we know at equilibrium level MR=MC where profit is maximised and it is the point where price and…

Q: Firm A sells good X. It faces demand q = 40 - 4P, where P is the price of X. What is Firm A's…

A: Revenue is the additional income that firms earn through the sale of their goods and services.

Q: Inverse demand for aglets (the plastic wrap on the end of the shoelaces) is given by the expression:…

A: Competitive market and monopolistic market are two different types of market structures.

Q: Compute marginal revenues from the following data on market demand:  Price per unit $38 36 34 32 30…

A: Marginal revenue is the increase in total revenue which producer gets when an additional quantity is…

Q: . Find marginal revenue for the firms that face the following demand curves: Q 3 1,000 — 5Р а. b. Q…

A: Here we calculate the marginal revenue by  calculating the total revenue , so the calculation as…

Q: If the market price is $100, find the output and the profit of a typical firm producing facial…

A: A rational firm producing facial paper wants to maximize its profit and always produces profit…

Q: The firm would attract new entrants into the industry if the price is

A: normal-profits are defined as the profits that are required by the firm to break even and continue…

Q: Find the marginal revenue expression of Q1 when the demand function is the following: а) Р%3D 50 —…

A: a) P = 50- 5Q1b) P = 100 - 2Q1C) P = 125 - 5Q1 - Q2 - 0.05Y

Q: For the demand function Q = 50 – P, what is the Q that maximizes Total Revenue , and the Q where…

A: First deriving inverse demand function P = 50 - Q Total Revenue (TR) = P × Q  TR = (50 - Q)Q TR =…

Q: What is Marginal Revenue equal to for a firm in a competitive market?

A: The revenue that results when there is an increase in revenue from the sale of one additional output…

Q: v Find a demand function q(p) such that, at a price per item of p $100 revenue will rise if the…

A: Increase In demand: The increase in demand refers to the process where the demand for commodity…

Q: Assume marginal cost is $40 in the summer and also in the winter. The daily demand for hotel rooms…

A: Given: Demand for hotel rooms in summer - p = 140 - q In winter - p = 100 - q MC = $40 (for both…

Q: A firm maximizes its profit by producing Q= 500 units of output. At that level of output, its…

A: The profit-maximizing choice for the monopoly will be to produce at the quantity where marginal…

Q: A software developer has received a patent protection for a software; he has a cost function of…

A: Price discrimination is the strategy to generate revenue by charge different prices for same goods .…

Q: The total Revenue curve of a firm is R(q) = 40q -12q^2 and its average cost A(q) = 1/30q^2 – 12.85q…

A: Given  Total Revenue (TR) = 40q - 12q2 Average Cost (AC) = (1/30)q2 - 12.85q + 20 + 400/q

Q: A firm faces the following linear inverse demand for its product P = 60 - 2Q. a)Find the firm's…

A: In a monopoly market, a firm optimizes the profit where the marginal revenue is equal to the…

Q: An agricultural seed company has an inverse demand given by: P 120 - 2Q, and a cost function…

A: Given- P=120-2Q-------------1 C =20Q We can calculate : Total Revenue (TR) = PXQ = 120Q - 2Q2 Now,…

Q: A software developer has received a patent protection for a software; he has a cost function of…

A: Price discrimination is the strategy to generate revenue by charge different prices for same goods .…

Q: A competitive firm sells 100 units of output for $5 per unit. The firm’s marginal revenue amounts to…

A: MR=∆TR/∆Q

Q: Economic Total revenue from the sale of X is given by the equation R=100Q-2Q2. Calculate the value…

A: Answer: Given, Total revenue function: R=100Q-2Q2 Marginal revenue=20 Calculation:…

Q: Big Boss is a local pet shop, mainly selling cat food. It has a constant marginal cost of $24. She…

A: The level with which the quantity demanded of a good changes with a change in its price is referred…

Q: Suppose the inverse demand function is P-12-Q, and cost is given by C(Q)+40 If marginal revenue is…

A: Answer;   Given : MC= 4 and MR= 12-2Q

Q: Assume that a firm faces the following cost curve and demand curves for markets X and Y: TC = 20 +…

A: Given  Firm total cost equation  TC= 20+4Q+Q2  Where Q= Qx+Qy  Demand equation in market x Px =…

Q: Suppose a firm's supply curve in a competitive market is S = 25 + 5p, where S is the supplied…

A: Here, supply function is given as: S=25+5p, where 5 is the slope of the supply curve The price…

Q: The market demand curve is given by P = 40 - 0.2Q. What is the profit-maximizing output? A. Profit…

A: In Economics, Total Revenue is the product of the inverse demand function ,Price (P), and Quantity…

Q: The demand function Q- f(p) is given in the graph below, where Q is thousands of units of output,…

A: Thanks for the question but according to the guidelines We solve up to 3 sub-parts at one time.…

Q: If the total revenue function of a good is given by TR= 900Q- 3Q² Find Marginal Revenue at Q=20…

A: TR=900Q-3Q2MR=∂TR∂Q=900-6Q Now, we need to find MR at Q=20 Therefore, MR=900-6(20)MR=780   And TR =…

Q: The demand function Q= J(p) is given in the graph below, where 1s thousands of units of output, and…

A: Answer(d) - The profit function is    π = f-1(Q)×Q - (10+3Q+Q2)

Q: For a profit-maximizing price-taker firm, a reduction in the price of a good will cause the marginal…

A: Price taker firm refers to the firm which accepts the price existing in the market. Both the buyers…

Q: A firm faces the market demand curve: P=90-Q/4 where P = price and Q = output The firm has the total…

A: Demand : P=90-Q/4 Total Cost : 1/4Q2-6Q+40 Total Revenue= P*Q TR=90Q-Q2/4 Profit π=Total…

Q: The individual demand for rides at an amusement park in Ellentown, Donkey Park, is represented by…

A: (a) Demand function: q=8-pp=8-q Marginal cost: MC=2 Profit maximizing block: p=MC8-q=2q=8-2=6…

Q: Economics Suppose that marginal revenue is given by MR(q) = q³ (q3 + 1)-1. Find the function R(q)…

A: The marginal revenue is the revenue that is additional revenue generated by selling given units of a…

Q: The total revenue curve of a firm is R(q) = 40q − 12q^2 and its average cost A(q) =1/30q^2− 12.85q +…

A:

Q: Alchem (L) is the price leader in the polyglue market. All 10 other manufacturers (follower [F]…

A: This a case of price leadership by a dominant firm in an Oligopoly. To maximize profits, firms…

Q: Find the marginal revenue expression of Q, when the demand function is the following: a) P = 50 –…

A: Since you have posted multiple subparts as per the guidelines we can solve the first 3 supports of…

Q: Yaster Inc. is trying to enter the thingamabob market. The research department established the…

A: Profit is the difference between revenue and cost function and when it is maximised then that point…

Q: Consider the market for a particular good where the inverse demand curve is P = 140- Q. There is one…

A: Given  P = 140 - Q Marginal Cost (MC) = 10

Q: Johnny Rockabilly has just finished recording his latest CD. The company can produce the CD with no…

A: P Q 30 10,000 28 15,000 26 20,000 24 25,000 22 30,000 20 35,000

Q: The demand equation of a product is p=100/q+10. Find the marginal revenue when q=10.

A: Given that: Demand equation: p=100/q+10. Total revenue (TR) is the total sales of the firm based…

Q: Suppose you are the manager of a theatre company. You have identified two groups of customers. Group…

A: Revenues are the additional income generated by a firm through the sale of its goods and services.…

Q: The demand function of a product is q = 75-p².2 ≤p≤7, where g is the quantity of the product that…

A: